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by contractors or subcontractors for construction work financed in whole or in part with community development special revenue sharing funds be paid wages at rates not less than those prevailing on similar construction in the locality as determined by the Secretary of Labor in accordance with the Davis-Bacon Act. Such requirements, however, would apply to residential property only if such property is designed for twelve or more families. The Secretary of Labor would have, with respect to the labor standards specified in this section, the authority and functions set forth in Reorganization Plan Numbered 14 of 1950 and other Federal laws.

Section 114. Interstate Agreements

This section would give Congressional consent to compacts and agreements among any two or more States in support of community development activities assisted under this title.

Section 115. Matching Grants

This section would provide that community development special revenue sharing funds may be used as matching shares for Federal grant programs which provide assistance for community development activities. Section 116. General Provisions

Subsection (a) would authorize the Secretary to prescribe such rules, regulations, and standards as may be necessary to carry out the purposes and conditions of this title.

Subsection (b) would require the Secretary to include an evaluation

of the effectiveness of community development special revenue sharing in his annual report to the President on Departmental activities.

Section 117. Effective Date

This section would provide that this title shall be effective

on January 1, 1972. After such effective date, no new grants or loans could be made under the urban renewal programs, the rehabilitation

loan program, the grant program for neighborhood facilities, and the Model Cities program, except with respect to projects or programs for which funds have been reserved prior to January 1, 1972. Section 118. Appropriation for Liquidation of Urban Renewal Contracts

This section would include payments required under urban renewal contracts with respect to projects or programs for which funds have been reserved prior to January 1, 1972 and for which funds have not previously been appropriated among the purposes for which annual appropriations are authorized by section 3689 of the Revised Statutes, as amended (31 U.S.C. 711). In conjunction with the transition to the community development legislation, this authority would be used to liquidate over $3 billion of urban renewal contracts, but only in such amounts as are necessary to meet annual cash disbursement requirements. Section 119. Conforming and Technical Amendments

Subsection (a) would amend section 217 of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 to make those who move as a direct result of any community development activities displaced persons within the meaning of that Act.

Subsection (b) would authorize the Secretary to transfer the assets

and liabilities of any superseded or nonactive program of housing or urban development to the revolving fund for 15 uldoing programs.

TITLE II

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STATE AND LOCAL PLANNING AND MANGEMENT PROGRAMS

Section 201.

Statement of Findings and Purpose

This section would set forth the following Congressional findings: (1) that the ability of our Federal system of government to respond effectively to the needs of all citizens depends upon the strength and capabilities of Federal, State and local governments; (2) that the Federal aid system has not given sufficient recognition to the need to work through and to strengthen elected officials of State and local general purpose governments and regional combinations thereof;

(3) that State and local governments must be aided in developing their planning and management capabilities if they are to assume their proper responsibilities in the Federal system and if the fullest effectiveness of Federal funds expended through revenue sharing is to be achieved;

(4) that previous Federal programs to improve State and local government capabilities have tended to be limited to specific functional areas and individual agencies and have not been directed at strengthening the overall capability of State and local officials to plan and make decisions and to manage their affairs; and

(5) that basic reliance should be placed on State and local

resources to support the improvement of State and local planning,

decision making, and management capabilities, but the Federal government

should provide additional assistance in order to strengthen the Federal system and promote the welfare of all citizens.

The section would declare the purpose of this title to be the strengthening of general purpose units of government at the State and local levels to enable them to use their own and shared revenues more effectively to cope with complex problems in a manner responsible to the economic and social needs and desires of all affected citizens. To promote this purpose Federal assistance would be provided to States and localities undertaking planning and management programs which lead to more effective resource allocation.

Section 202.

Definitions

This section would define certain terms as follows:

(1) "Secretary" would mean the Secretary of Housing and

Urban Development;

(2) "State" would mean any State of the United States, the Commonwealth of Puerto Rico, Guam and the Virgin Islands;

(3) "Locality" would include any city, county or other unit of general local government, the District of Columbia, or any territory or possession of the United States, or metropolitan or other multi-jurisdictional area which the Secretary guided by any criteria in an applicable State planning and management program, determines forms an economic and socially related development region, taking into account such factors as present and future population trends and patterns of urban growth, location of transportation corridors, facilities and systems,

and distribution of industrial, commercial, residential, governmental, institutional, and other activities; and

(4) "Governmental agency" would mean (1) an Indian tribe

or organization determined by the Secretary to have governmental
characteristics and (2) an organization (including a nonprofit
organization composed or predominantly composed of elected public
officials) which meets State standards and criteria prescribed
pursuant to section 204 or, in the absence of such standards and
criteria, an areawide agency, designated pursuant to title II
of the Demonstration Cities and Metropolitan Development Act of 1966
or title IV of the Intergovernmental Cooperation Act of 1968, which

is organized to deal with matters of governmental concern to two

or more public bodies or units of government.

Section 203. Planning and Management Programs Generally

Subsection (a) would require a planning and management program

assisted under this title to be designed by the State or locality to meet its own particular needs and to improve the capabilities of elected officials for developing, implementing, and evaluating policies, programs, and projects in a balanced manner that will further the purpose of the title. Activities which may be supported under this title are those which (1) will aid in the attainment of specified State or local objectives relating to governmental operation, land use, housing, development, resource management or areawide and intergovernmental coordination and (2) are carried out in a manner which assures periodic examination by States or localities of methods and objectives as

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